Farming – always the ups and downs of climate, markets and stock values !

 

Once again the government took a snap-shot at 30 April throughout New Zealand and across various markets to determine the Herd Value to be used for tax purposes (also called the NAMW – national average market value).

 

Sheep

 

With the easing in the schedule and some areas affected by drought the sheep value eased back by 2 – 10%.

 

To give an idea of the changes

2014              2015

 

Ewe hoggets                     94                  88

2th ewes                         131                126

MA Ewes                         118                113

R 5+ ewes                       101                  90

 

So for those farmers with sheep in the herd scheme at your 2014 balance date- this will unfortunately trigger a non-deductible decrease as the opening stock is revalued.

Beef Cattle

As expected with the strong beef schedule achieved the values moved from 13 -20% up on the beef cattle and Friesian bull values.

This effectively inflation proofs the movement upwards for those cattle in the herd scheme.

 

Again to show a couple of the dollar movements:

 

2014            2015

 

Beef- MA Cows               986               1,171

Beef- R 2 bulls/steers    933               1,104

Friesian-R2                     780                  900

Special Alert  Livestock Herd Scheme 2015

This is an overview of the changes.  We are available to talk in more detail about how this impacts your 2015 farming figures.

 

More detailed figures are shown below or for a printable version click here

Dairy

The most extreme movement has been seen in the dairy cattle where the values have reduced by 16 - 28%, which given the current returns may even be seen as conservative.

2014        2015

Friesian R1 heifers          946            681

Friesian MA cows          1,963        1,655

Deer

Minimal change in these values except for the R2 stags which moved up 20%.

BM Accounting Limited